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The Travel Career Connexxions Opportunities Newsletter
03/30/04

The only weekly newsletter detailing essential trends, news and top executive moves in travel. Opportunities is a free newsletter that provides you with the vision to "see" travel industry opportunities in the making. Whether you are in sales, business development, guiding your company's growth or managing your career, reading opportunities will give you the advantage to succeed. Opportunities is another innovative tool brought to you by Travel Career Connexxions. For more information, visit our main Travel Job resource page.

This week in Opportunities:

Advance your Career with The Travel Institute
Cruise Revenue, Pricing Up in 2004
Fed Survey Finds Travel Grew in 2003
Travel Agent Bookings on the Rebound
New Opportunities!
Executive Movers! See who's going where?
Travel Executive Employment Report

TOP NEWS & TRENDS!

Find a Career Resource at The Travel Institute

If you're looking to move into the travel industry in an executive post, or move into a different segment of the industry, one of your first stops should be The Travel Institute. This not-for-profit organization, formerly known as the Institute for Certified Travel Agents (ICTA), was founded in the 1960s as a way for travel agents to gain more professional knowledge. It offers educational materials and training designed to help travel agents increase their knowledge, and also awards such professional certifications as the Certified Travel Counselor and Certified Travel Associate designation. Last year, however, The Travel Institute changed its name from ICTA, as well its mission. It now seeks to serve the entire travel industry with educational programs and materials. Indeed, a good way to get a better understanding of the industry is to purchase some of the institute's educational material. This includes some entry-level textbooks geared to travel agents, such as Travel Career Development (now in its seventh edition), Travel Sales and Customer Service, Exploring the World: Geography for Travel Professionals, and the TRIP Kit (an introduction to a career in travel for travel agents). The Institute also offers a number of travel-career related course for $35 each, including business writing skills, computer technology, cultural diversity, customer-focused selling, effective listening skills, employee training and development, goal setting and motivation, how to prevent credit card fraud, impact of technology, interpersonal communication and making presentations. It also offers 12 destination specialist courses for $79 each, which can give you the lowdown on a particular region or country. Courses offered include Africa, Alaska, the Caribbean, East Asia, European Culture and Heritage, France, Hawaii, North America, South Pacific, Spain, St. Lucia and Western Europe. For more information, call 800-542-4282 or 781-237-0280, or visit www.thetravelinstitute.com.

Carnival Results Reflect Strong Cruise Business

Just how strong is the cruise segment of the travel industry? Carnival Corp. & plc once again showed the sector strength when it reported net income of $203 million on revenues of $2 billion for the first quarter ended Feb. 29, 2004. That compares to pro forma net income of $147 million on pro forma revenues of $1.6 billion for the same quarter in 2003. Carnival Corp. now includes Carnival Cruise Lines, Costa Cruise Line, Cunard Line, Holland America Line, Princess Cruises, Seabourn Cruise Lines and Windstar Cruises. Carnival Corp. and P&O Princess entered into a dual listed company structure on April 17, 2003, which effectively made Carnival Corp. and P&O Princess a single economic entity. Also on that date, P&O Princess changed its name to Carnival plc. Reported revenues for the first quarter of 2004 increased by $945 million compared with the first quarter of 200, primarily due to the inclusion of $749 million of Carnival plc revenues, a 16.8 percent increase in Carnival Corporation standalone capacity and higher revenue yields.

Pricing is also picking up, after being depressed for the last two years. Net revenue yields for the first quarter of 2004 increased 4.1 percent compared to pro forma net revenue yields in the prior year, largely due to the weak U.S. dollar relative to the euro and sterling. Carnival noted that during the first quarter it had completed the introduction of Cunard Line's 150,000-ton Queen Mary 2, the largest passenger vessel ever constructed. It also launched the 2,124-passenger Carnival Miracle at the end of February, while Princess Cruises' 2,674-passenger Diamond Princess entered service in March and the 3,114-passenger Caribbean Princess was delivered and will enter service in April. Carnival Chairman Micky Arison said a robust wave booking season makes him very optimistic that 2004 financial results should continue to show year over year improvement. Arison also pointed out that the cruise industry's recovery comes at a time when Carnival's new building program is at its peak. "Next month marks a year since the completion of our historic transaction with the former P&O Princess and the combination of the two new building programs produces seven new ships this year," Arison said. "Those deliveries are across our strongest performing brands and occur during a year where it now appears that we are well-positioned to absorb this additional capacity."

Fed Survey Finds Travel Did Grow in 2003

So maybe 2003 wasn't such a bad year for travel and tourism in the U.S. after all. The U.S. Bureau of Economic Analysis says 2003 was the first year since 2000 with net growth in tourism sales. Sales in the fourth quarter alone increased 2.2 percent totaling $740.6 billion, compared with the same period the previous year. Tourism-related air transportation sales rose 2.9 percent to $96 billion, and tourism-related sales of eating and drinking places rose 7.2 percent to $66.3 billion. For the full year 2003, those two sales categories combined accounted for 56.9 percent of the total direct tourism-related growth totaling $387.3 billion in 2003. Hotel and lodging sales, however, actually fell 0.1 percent to $105.7 billion in 2003.

Travel Agent Bookings Are on the Rebound

The American Society of Travel Agents (ASTA) unveiled results of an online survey that examined travel agent bookings and revenue generated during the first two months of 2004. The survey, which was distributed to ASTA members and Carlson Wagonlit and Uniglobe travel agents, indicates positive travel trends for the beginning months of 2004. Of the more than 300 agents who completed the survey, four out of five said that the number of bookings for the first two months of 2004 is up, compared with the same period in 2003. A much lower 7.5 percent said bookings were down. Overall, 47.5 percent said bookings were up significantly, 33.9 percent said they were up a little, 11.1 percent said they were about the same, 6.6 percent said they were down somewhat, while 0.9 percent said they were down significantly. Revenue generated in January and February 2004 is also up compared with the same months in 2003. A combined 77.7 percent of agents report an increase compared with 2003. Fewer than 10 percent said revenue is down compared with last year. Overall, 40.1 percent said revenue generated was up significantly, 37.6 percent said it was up a little, 13.1 percent said it was about the same, 8 percent said it was down somewhat, while just 1.3 percent said it was down significantly. Meanwhile, 57.6 percent of agents said Cruise Wave Season bookings were up compared with 2003, while another quarter said bookings were about the same as last year.

GROWTH OPPORTUNITIES!

Carlson Cos. Poised for Strong 2004

So maybe 2003 wasn't such a bad year for travel after all-at least for companies that specialize in franchising hotels and travel agencies. Privately held Carlson Companies reported system-wide 2003 sales from its company-owned and franchised operations reached $20.9 billion, up 5.5 percent, compared with $19.8 billion in 2002. Sales from Carlson-owned and managed operations totaled $6.8 billion, up 1.5 percent, compared with $6.7 billion the previous year. System-wide sales, which include both franchised and owned/managed operations, were driven by growth in restaurants, hotel and leisure travel, while Carlson-owned cruise and incentive businesses, saw their growth hurt by cancellations related to the Iraq war. Nelson also predicted that sales volume will continue to improve in 2004, based on new brand-defining products planned for Carlson Hotels Worldwide, including new signature guest features and services, new Radisson openings in Berlin and Tahiti, and growth in the business travel segment, where Carlson Wagonlit just signed a definitive agreement to purchase Maritz Travel Company's U.S. corporate travel subsidiary.

Virgin Atlantic Unveils New Hiring Plans

Virgin Atlantic Airways is poised for more growth, bucking the trend among most major world airlines. Last week it announced plans to order two more A340-600 aircraft, recruit 1,400 staff by the end of the summer, add new routes to Cuba and the Bahamas, and expand capacity on existing routes. Virgin Chairman Richard Branson cited encouraging signs that the airline business is returning to health. Here in the U.S., Branson is proceeding with plans to start a low-cost carrier early next year based in Boston, San Francisco or Washington Dulles. The fledgling airline hired Delta COO Frederick Reid earlier this month as its chief executive.

Niche Cruise Line Plan More Ships

Cruise industry expansion isn't just for the big companies like Carnival, Royal Caribbean and Norwegian Cruise Line. A number of niche lines are introducing major new ships, which means they will have to step up marketing and sales efforts in the North American market. Italy-based Mediterranean Shipping Cruises, for example, plans to expand its fleet with two new ships plus an option on a third. The two vessels will be the largest in the MSC's fleet with a capacity of 3,000 passengers each. The ships are due for delivery in 2006 and 2007 and will sail in the Mediterranean and Caribbean. Last year MSC introduced the 1,756-passenger Lirica and expects delivery of a sister ship, the Opera, in June.

EXECUTIVE MOVERS!

AIRLINES: Former American Airlines chairman and CEO Donald Carty would become chairman of and an investor in Hawaiian Airlines once it emerges from bankruptcy under a reorganization plan proposed by the carrier's parent company. Carty served as American's CEO from 1998 until April 2003, when he resigned after failing to tell American workers about bonuses and bankruptcy-proof pensions granted to top executives while the rank-and-file were asked to accept major pay cuts... Cathy Bradley Berg, a 25-year veteran of American Airlines and currently director of the airline's Premium Services organization, has been named managing director of sales for American's Western Region. Berg will oversee an agency and corporate sales team in a 14-state region covering the West Coast, Pacific Northwest, Desert Mountain region, Hawaii, Alaska and Canada. She will be based in Los Angeles.

UAL, parent of United Airlines, named Arnold Lewis as vice president-marketing programs and president-United Loyalty Services. Lewis will have worldwide responsibility for United's Mileage Plus program; all of the program's partner associations, including the affinity credit card program with BankOne and Visa; and its frequent flyer relationships with Star Alliance partners. He also will manage the company's direct marketing communications and customer database strategy. Lewis will report to Martin White, senior vice president of marketing. Lewis was previously vice president for strategic alliances at AARP Services, Inc. Prior to that, he held various roles with American Express Travel Related Services, including vice president, acquisition in Amex's Consumer Card Services Group.

CRUISES: Silversea Cruises appointed Kevin Regan as director of charter and incentive sales, a new post. Regan will report to Sean Mahoney, vice president of worldwide charter and incentive sales. He will be based in Minnesota and take responsibility for boosting sales with key meeting and incentive travel partners throughout the Midwest. Regan previously operated the branch manager division at American Express Financial Advisors, and has held sales management positions at Maritz Performance Improvement Company, Maritz Travel Company. He also served as promotional director for Cunard Line.

DESTINATIONS: Pilar Bush, former deputy director of tourism for the Cayman Islands, has been named acting director of tourism. Bush replaces Lania Rittenhouse, who joined Norwegian Cruise Lines. A Cayman Islands selection committee plans to pick a director by July 1.

CAR RENTALS: Carey International's board of directors elected Devin Murphy as chief executive officer of the ground transportation provider. Most recently, Murphy served as president and COO of the company. He succeeds Vincent Wolfington, who continues to serve as Carey's chairman.

HOTELS & RESORTS: Eurotunnel has named Philippe Bourguignon, most recently chairman and CEO of all-inclusive giant Club Mediterranee, and previously CEO of Euro Disney, as chairman effective Oct. 29, when current Chairman Charles Mackay retiresÖShangri-La Hotels and Resorts named Martin Waechter as chief marketing officer. Waechter will rejoin Shangri-La's corporate office in Hong Kong from Frankfurt-based Steigenberger Hotels AG, where he is currently on the board of managing directors. He previously worked for Shangri-La in Hong Kong for seven years from 1993 as vice president-marketing with responsibility for several properties and then as vice president sales and marketing, where he headed up global sales and distribution. In his new post, he will report to Shangri-La Chief Executive and Managing Director Giovanni AngeliniÖHervÈ HoudrÈ has been named general manager for the Willard InterContinental Washington. HoudrÈ previously managed such properties as the Hotel De Crillon and Hotel Plaza AthÈnÈe in Paris. Most recently, he was chief operating officer for Kempinski Hotels and Resorts. From 1991 to 1999, HoudrÈ also served on the executive committee of Leading Hotels of the World.

Nanci Figueroa has been promoted to area director of sales and marketing for two of San Francisco-based Kimpton Boutique Hotels' three Chicago properties: the 192-room Hotel Monaco Chicago and the 122-room Hotel Burnham. She is responsible for the sales and marketing programs at both hotels as well as the direction and leadership of their sales teams. Figueroa joined Kimpton in 2001 when she was named director of sales and marketing for the Hotel Monaco Chicago. Prior to joining the Hotel Monaco Chicago, Figueroa served as director of corporate sales for Hostmark Hospitality Group/Holiday Inn Chicago Mart PlazaÖFelCor Lodging Trust Incorporated, the second largest REIT in the U.S., promoted Marsha Bonner to vice president of risk management, and Stephen Schafer to vice president of investor relations. Bonner has served as risk manager at FelCor since 2002. Schafer has served as director of investor relations since 2000ÖAustin hotel executive Ron Paynter has been named general manager of the 349-room Horseshoe Bay Resort Marriott Hotel and Conference Center, scheduled to open this fall as Marriott's first resort hotel in Texas on Lake LBJ near Horseshoe Bay, a community about 45 miles west of Austin.

Cheryl Boyer has been tapped to lead PricewaterhouseCoopers' New York Hospitality & Leisure Practice. Boyer will be in charge of all national engagements run out of the New York office, as well as all New York-specific engagements, reporting to Bjorn Hanson, Ph.D., global leader of PricewaterhouseCoopers' Hospitality & Leisure Practice. She spent the last five years with PricewaterhouseCoopers, working with Sean Hennessey, the former director of the New York practice. Hennessey resigned his post earlier this month to start his own private consulting practice, Lodging Advisors, but will remain involved with PricewaterhouseCoopers as a subcontractor. Prior to joining PricewaterhouseCoopers, Boyer was a managing director in Insignia Hotel Partners' Capital Markets group.

TRAVEL AGENTS: Travelport Corporate Solutions, Cendant Corp.'s business travel unit., has named Richard Case as general manager for account development. Case most recently worked as senior service manager for Microsoft's travel program. Case previously worked for Rosenbluth International, Delta Air Lines, and American Express.

TRAVEL TECHNOLOGY: Toronto-based VFM Interactive Inc., a provider of media content solutions to the lodging and travel industry, named Dan Legault as executive vice president. Legault joins VFM Interactive with a background of 15 years in travel, technology and marketing with Exchange Solutions (Toronto), Opal Sky (Toronto) and Butterfield & Robinson (Toronto). Most recently, Legault was vice president with Exchange Solutions, a CRM strategy consulting and technology outsourcing company. He also served as president of Opal Sky, travel industry CRM company, which provided CRM strategy and technology solutions and services to Expedia, Virtuoso and The Leading Hotels of the World, among other clients. Prior to that, he was president of Butterfield & Robinson, the Toronto-based high-end tour operator.

TOUR OPERATORS: GoGo Worldwide Vacations named Colette Baruth as vice president for Mexico and Latin America. GoGo also tapped Fiona Taylor as director of marketing for Mexico and Belize.

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© 2003 The Weekly Executive Employment Report is a publication of Travel Career Connexxions, Inc.